The Korea Herald

‘Yeongjongdo less attractive than Macau’

May 21, 2015

MACAU ― Global investors are not very enthusistic about South Korea’s plan to allow additional casino-centered integrated resorts in the metropolitan Incheon’s Yeongjongdo Island area to promote the tourism industry. The points of concern vary from the “foreigners-only policy” and Yeongjongdo’s rather isolated location to the looming competition with neighboring Japan which is seeking to legalize gaming for locals.“What is more important (than building infrastructure) is to establish a regulator
Regulator eyes electronic securities system by 2019

May 21, 2015

South Korea's top financial regulator said Thursday that it is planning to introduce an electronic securities system by 2019, under which stocks and bonds do not exist as a paper form. The Financial Services Commission said under the new system, issuance, registration and circulation of securities will be performed on an electronic basis without physical certificates. Nearly all kinds of securities, except commercial papers and investment contract securities, will be subject to the paperless sy
Korea’s GDP growth may stay below 3%: KDI

May 20, 2015

A major state-controlled think tank forecast Wednesday that South Korea’s economic growth may stay below 3 percent this year due to a continued slump in exports.In its predictions on the nation’s economy in 2015 and 2016, the Korea Development Institute cited numerous factors domestically and externally, which could pull down the growth potential, particularly this year.The institute revised its 2015 GDP growth downward to 3 percent from its earlier forecast of 3.5 percent, which is lower than t
Stakeholders seek to bring Asian casino business back in the game

May 19, 2015

MACAU ― Macau’s casino industry, which had enjoyed high growth in past years, is now seeing its revenues drop for the first time, which is reason enough for concern to all stakeholders in the Asian region.Alarmed by the slowdown and seeking new momentum, industry officials and investment experts gathered in Macau to participate in a leading tradeshow.The ninth annual edition of G2E Asia, a premier gaming exhibition and conference dedicated to the Asian casino market, kicked off at the Venetian M
Top financial regulator urges full disclosure of company info

May 19, 2015

South Korea's top financial regulator said Tuesday that all companies are responsible for disclosing their information in a full, fair and timely manner in order to create a transparent and investor-friendly financial environment. "In order to invigorate the financial market, we have to expand the circulation of credible information that can attract rational investment," said Financial Services Commission Chairman Yim Jong-yong. "It is necessary to make full, fair and timely disclosures of mat
[Newsmaker] Lone Star suit weighs heavily on Seoul

May 18, 2015

The ongoing suit over a multibillion-dollar investment compensation against U.S. private equity firm Lone Star is a battle with no retreat for the South Korean government, which has much to lose.The $4.7 billion dispute settlement has so far cost 24 billion won ($22 million) in litigation expenses, and the amount is expected to escalate further in upcoming years, now that the hearing has kicked off.Much to Seoul’s concern, however, the legal dispute is currently in a deadlock, with no conspicuou
FSC to ease restrictions on opening bank accounts

May 18, 2015

South Korea’s top financial regulator said Monday that it will allow customers to open bank accounts without physically visiting brick-and-mortar offices from later this year as part of efforts to ease regulations on the financial industry and boost financial technology, or fintech.Under the current financial laws, local financial institutions must identify the name of an individual who opens a bank account by checking their identification cards and signatures in person.The Financial Services Co
Ex-head of S. Korean financial watchdog to testify in Lone Star suit

May 18, 2015

A former head of South Korea's financial watchdog is expected to testify before an international tribunal this week in a multibillion-dollar case the U.S. private equity firm Lone Star filed against South Korea over disputes surrounding its asset sell-offs in Korea.Jun Kwang-woo, who served as head of the Financial Services Commission in 2008-2009, has been in Washington to testify before the International Centre for Settlement of Investment Disputes that began hearing the case Friday."I can't s
Brokerages' earnings hit 6-year high in Q1

May 18, 2015

South Korean securities firms' earnings hit a six-year high in the first quarter on increased gains from equity investment amid low interest rates and a bullish stock market, the financial watchdog said Monday.The combined net profit of 58 securities companies stood at 976 billion won ($898.9 million) in the January-March period, the highest quarterly figure since it reached 1.1 trillion won in the first quarter of 2009, according to the Financial Supervisory Service.Their bottom line more than
Gasoline prices gain for 28th consecutive day

May 17, 2015

The nation’s gasoline prices increased for nearly a month without a daily adjustment, starting on April 20, amid the continuous rebound in international crude oil prices which hover at around $60 per barrel.According to Opinet of the Korea National Oil Corp., the benchmark gasoline price for consumers posted 1,544.63 won ($1.4) per liter as of Sunday, up 0.67 won from a day earlier and 17.63 won from a week ago. It has gained for the 28th consecutive day after it traded at 1,504.68 won on April
Samsung's market share in mobile phones down in Q1

May 17, 2015

South Korea's tech giant Samsung Electronics Co. saw its global market share in the mobile phone sector drop slightly during the first quarter of this year but its shares in the DRAM, TV and display areas improved, a report showed Sunday.According to the report by Samsung Electronics detailing its business performance for the first quarter, its share in the global mobile phone sector stood at 22.2 percent during the January-March period, down from the previous year's 22.4 percent.The figure incl
First hearing opens over Lone Star asset sell-offs in Korea

May 15, 2015

An international tribunal began hearing a multi-billion dollar case Friday that the U.S. private equity firm Lone Star filed against South Korea's government over tax and other disputes surrounding its asset sell-offs in Korea. The case is the latest -- and the biggest -- of a series of legal battles involving Lone Star's investments in South Korea, including the 2003 purchase of a controlling stake in Korea Exchange Bank (KEB), and its sell-off of those assets for large margins. Lone Star i
Revised income tax law causes confusion

May 15, 2015

The revised income tax law is confusing taxpayers, stirring them up. The National Tax Service said Friday that the income tax revision, which passed the National Assembly three days ago requires the readjustment of last year’s year-end tax return for about 15 million taxpayers. This accounts for more than half of the country’s entire economically active population.On the same day, the Korea Taxpayers Association, the country’s largest nongovernment organization on tax studies, said in a press re
Korea’s growth outlook mixed

May 14, 2015

The International Monetary Fund and several foreign investment banks including Citigroup have expressed skepticism over South Korea’s economic outlook, citing growing uncertainties that might pull down the nation’s growth in the coming months.In contrast, data from the Organization for Economic Cooperation and Development was more positive.The split projections from the two major global organizations ― the IMF and OECD ― are drawing closer attention to local policymakers’ decisions in the coming
Korea-Lone Star duel to start in Washington

May 14, 2015

The legal battle over a multibillion-dollar investment compensation case between U.S. private equity firm Lone Star and the Korean government will start with its first hearing in Washington D.C. on Friday.This will be the first investor-state dispute case hearing faced by the Korean government, as well as the biggest of the years-long legal conflicts regarding Lone Star’s takeover and sell-off of Korea Exchange Bank.The International Center for Settlement of Investment Disputes, an international